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The top 10% of taxpayers contribute 60% of income tax...

796 replies

MsPinkMarshmallow · 03/11/2025 11:43

I'm fed up of hearing that "high earners" will be targeted by the next budget.

The top 10% of taxpayers pay 60% of income tax.

Don't piss them off. They'll just leave the UK or work less so they're taxed less.

Some more stats: in 2024-25, the top 1% of income tax payers earned 13.3 per cent of total income and paid 28.2 per cent of income tax

35% of adults in the UK pay no tax at all

More from the Taxpayers Alliance here:

https://www.taxpayersalliance.com/briefing_share_of_income_tax_paid_by_percentile

<stands back and awaits kicking>

OP posts:
Thread gallery
6
Kitte321 · 03/11/2025 14:33

GehenSieweiter · 03/11/2025 14:21

Such compassion.

What is lacking compassion in my statement? It is simply the truth.
we need a strong benefit state for those that need it. We need strategies to get those back in work that can.

Summerhillsquare · 03/11/2025 14:35

Iwanttoliveinagardencentre · 03/11/2025 11:55

Stupid options so I can’t vote.
The richest pay more because they can easily afford to do so and still have a very nice standard of living which is far beyond anything poorer people have.
This is how society works.
Equity is not the same as equality.
We all pay what we can and we all pay for others who use services we don’t personally need or use to varying degrees.

Yes, and as a proportion of their means, the poorest pay more taxes than any other group.

Milbie · 03/11/2025 14:38

Sunflower2461 · 03/11/2025 14:21

Do you include pension wealth in this? If so do you think we should also tax final salary pensions the same amount to be fair? A modest final salary pension of say £25k pa taken at age 60 would require an equivalent private pot of around £800k. A moderate one of £50k pa would require a pot of £1.6m.

Most wealth tax positions argue for taxes on capital of ten million pounds and up.

If your pension is ten million pounds then, yes, we should tax that.

Interested in this thread?

Then you might like threads about this subject:

MiddleAgedDread · 03/11/2025 14:39

Kuretake · 03/11/2025 13:40

If I was in charge I would link council tax to an indexed last sold price I think. The bands are all over the place.

This!! My property is worth £280-300k and is in band F. They were built after the current banding valuations and are in far higher bands than older properties which are twice the size and worth twice as much.

GehenSieweiter · 03/11/2025 14:40

Ally886 · 03/11/2025 14:29

You're right, money doesn't protect you from unfortunate events. Someone very close to me has had a couple of rounds of cancer surgery this year and I've been fortunate enough to raise tens of thousands for a charity associated with it. I would hope that has helped a lot of people going through similar circumstances.

The more I'm taxed, the less I can give to charity and use to support those that need it most in my community

Your tax also pounds also help those with cancer though, but with less of the glory you clearly bask in.

GehenSieweiter · 03/11/2025 14:41

Kitte321 · 03/11/2025 14:33

What is lacking compassion in my statement? It is simply the truth.
we need a strong benefit state for those that need it. We need strategies to get those back in work that can.

Good bit of backtracking there.
Also, your biased opinion isn't 'the truth'.

Kitte321 · 03/11/2025 14:42

GehenSieweiter · 03/11/2025 14:41

Good bit of backtracking there.
Also, your biased opinion isn't 'the truth'.

Edited

Nope. None. Entirely consistent.

GehenSieweiter · 03/11/2025 14:43

Kitte321 · 03/11/2025 14:42

Nope. None. Entirely consistent.

Sure, suddenly you're categorising benefit claimants into your idea of worthiness.

spoonbillstretford · 03/11/2025 14:43

I've always been happy to pay income tax, but now with twice the number of lower income households supporting Reform as higher income households, if they vote in a Reform government there are millions of centrist/centre left higher rate taxpayers who will be taking their skills and money elsewhere.

Digdongdoo · 03/11/2025 14:44

They might not leave, but they might well decide it isn't worth working that bit harder to be in the top 10% any more. Foolish in my opinion. Spread the tax take more evenly and scrap the cliff edges.

Kitte321 · 03/11/2025 14:44

GehenSieweiter · 03/11/2025 14:43

Sure, suddenly you're categorising benefit claimants into your idea of worthiness.

I do. As a mechanism to get back on your feet. Not as a lifestyle choice.

GehenSieweiter · 03/11/2025 14:44

spoonbillstretford · 03/11/2025 14:43

I've always been happy to pay income tax, but now with twice the number of lower income households supporting Reform as higher income households, if they vote in a Reform government there are millions of centrist/centre left higher rate taxpayers who will be taking their skills and money elsewhere.

Ask yourself why this demographic is drawn to reform, and ponder if inequality is somehow part of it.

GehenSieweiter · 03/11/2025 14:45

Kitte321 · 03/11/2025 14:44

I do. As a mechanism to get back on your feet. Not as a lifestyle choice.

It's not up to you to determine who should receive support.

GehenSieweiter · 03/11/2025 14:47

Digdongdoo · 03/11/2025 14:44

They might not leave, but they might well decide it isn't worth working that bit harder to be in the top 10% any more. Foolish in my opinion. Spread the tax take more evenly and scrap the cliff edges.

The tax burden is spread more evenly by taxing higher earners more though.

Digdongdoo · 03/11/2025 14:48

GehenSieweiter · 03/11/2025 14:47

The tax burden is spread more evenly by taxing higher earners more though.

Edited

No it isn't. You're talking about as a proportion of income. But that isn't spreading taxation evenly.

spoonbillstretford · 03/11/2025 14:49

GehenSieweiter · 03/11/2025 14:44

Ask yourself why this demographic is drawn to reform, and ponder if inequality is somehow part of it.

Of course it is, and the major political parties and the media are all at fault. We had a more left wing and at one time pretty popular version of Labour focusing on equality and alleviating poverty with Jeremy Corbyn and the media tore it down. Whenever Reeves tries to suggest any more tax it's torn down. And Reeves is about as left wing as Theresa May.

Who really runs the country is not the government.

MsPinkMarshmallow · 03/11/2025 14:49

Youhidaway · 03/11/2025 13:17

OP, you probably won’t get the responses you’re hoping for on MN, but I do understand where you’re coming from… to some extent. Yes, billionaires and huge companies should absolutely be paying the taxes they owe, and many exploit loopholes to avoid doing so. However, it feels to me that Labour’s approach ends up penalising ordinary people for working hard:

  • Work hard and earn a good living - more goes to the government.
  • Save for your dream house that’s just outside your budget - taxed more.
  • Happen to live in a house that has increased massively in worth since you bought it but actually are just a regular hard working person - ah that’s a shame, more tax for you.
  • Scrimp and save to afford a second property to one day pass on to your child - taxed more.
  • Work your whole life, pay taxes, and die - 40% of your estate goes to the government.
  • Sacrifice everything to send your child to private school - ah they are rich they can afford to pay more tax.

It genuinely feels like this government won’t be satisfied until there are no millionaires or billionaires left, and the middle classes and small businesses are squeezed just as tightly.

Yep, that was my point. I know mumsnet generally hates high earners so I wasn't expecting anything other than a kicking!

OP posts:
MsPinkMarshmallow · 03/11/2025 14:51

verycloakanddaggers · 03/11/2025 13:13

It's pretty unsurprising that high earners pay more tax than low earners.

35% of adults in the UK pay no tax at all This is false, as they pay VAT, but also the majority will be pensioners on low pensions.

I was quoting from the taxpayers alliance.

So maybe it should have said "35% of adults in the UK pay no income tax at all"

We all pay VAT on loads of things, there is no choice.

OP posts:
GetInTheBinDave · 03/11/2025 14:51

C8H10N4O2 · 03/11/2025 14:06

@MsPinkMarshmallow Have the people behind the tax dodger’s alliance started paying tax themselves yet or are they still using non domiciliary arrangements?

Like the similarly self appointed “intergenerational fairness” band they carve a nice little earner from debatable stats and simplistic solutions, often riding a lazy identity politics based argument.

The reality is UK voters over the past 25+ odd years have wanted Scandinavian levels of services for US levels of tax. Not just high earners but people across the board would need to pay more taxes to increase services to the level desired. Especially when some of the most desired services are the most dysfunctional, bloated and resistant to modernisation.

Even on this thread you have people complaining about being impacted by the anomalous rate at 100k whilst saying “those people” who earn more than they do can pay more tax.

our higher tax brackets are already scandi with none of the sweetener

Scandinavian levels of services means everyone gets out what they put in

people don’t want that here. They want those with the ‘broadest’ shoulders to pay for everything because they ‘use the roads’ and ‘our NHS’ and to just be happy with that

Any thread where someone who earns over 100k bemoans their childcare bill they are told to fuck off because they don’t need need funded hours

in Sweden you can get a tax credit to use for private schools if you choose; as you’ve paid for ‘education’. There is absolutely no means testing for child benefit and childcare. Targeted support is available for low income households- but everyone gets a piece of the cake

Kitte321 · 03/11/2025 14:53

GehenSieweiter · 03/11/2025 14:45

It's not up to you to determine who should receive support.

Well, same could be said for anyone posting on this thread! That’s my opinion….that I am entitled to have.

GehenSieweiter · 03/11/2025 14:54

MsPinkMarshmallow · 03/11/2025 14:49

Yep, that was my point. I know mumsnet generally hates high earners so I wasn't expecting anything other than a kicking!

MN doesn't 'generally hate high earners', but folk don't take kindly to high earners saying how hard done by they are when there are people really struggling.

GehenSieweiter · 03/11/2025 14:55

Kitte321 · 03/11/2025 14:53

Well, same could be said for anyone posting on this thread! That’s my opinion….that I am entitled to have.

It's a meaningless and uninformed opinion, but yes, crack on.

GehenSieweiter · 03/11/2025 14:56

spoonbillstretford · 03/11/2025 14:49

Of course it is, and the major political parties and the media are all at fault. We had a more left wing and at one time pretty popular version of Labour focusing on equality and alleviating poverty with Jeremy Corbyn and the media tore it down. Whenever Reeves tries to suggest any more tax it's torn down. And Reeves is about as left wing as Theresa May.

Who really runs the country is not the government.

I really wish we had a proper functional labour party, but I fear I can only dream.

Kitte321 · 03/11/2025 14:56

GehenSieweiter · 03/11/2025 14:55

It's a meaningless and uninformed opinion, but yes, crack on.

No. It really, isn’t. Let’s leave it here.

ScaryM0nster · 03/11/2025 14:57

It’s worth looking to Scotland and their experience of attempting to raise revenue by increasing higher tax rates.

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